To maximize resource utilization, I prefer Virtual Environment which runs on bare metal not as Application; this type of architecture provide good virtualization platform for managing cloud, server and desktop virtual infrastructure. there is an open-source application available that provides easy to understand and deploy platform by Citrix known as xenserver.

http://www.citrix.com/products/xenserver/overview.html

http://www.openstack.org/software/openstack-compute/

You may want to consider High Trust Zone (HTZ) which emphasizes on virtual environment in IaaS due to its extensible delivery model which allows abstract infrastructure and resources to be made available to clients as isolated Virtual Machines (VMs). See http://www.cloudsecurityalliance.org/csaguide.pdf

To maximize resource utilization, I prefer Virtual Environment which runs on bare metal not as Application; this type of architecture provide good virtualization platform for managing cloud, server and desktop virtual infrastructure. there is an open-source application available that provides easy to understand and deploy platform by Citrix known as xenserver.

http://www.citrix.com/products/xenserver/overview.html

http://www.openstack.org/software/openstack-compute/

you can try installing Openstack - RDO from redhat if you plan to use RHEL/CentOS

http://openstack.redhat.com/Quickstart

or openstack single node setup for ubuntu http://www.ubuntu.com/download/cloud

An easy to use out-of-the-box solution that you can install and test in minutes is OwnCloud.

You can either install it on your own servers and host it yourself, or OwnCloud have a number of suppliers of the service that you can contact.

You can work on UEC (Ubuntu Enterprise Cloud). It has predefined Hypervisor, a Cloud Computing platform (Eucalyptus) and Centos OS.

Red Hat RDO has pretty nice installer for OpenStack. For fast VM provisioning, you might consider Ceph, a VM like KVM or XenServer and something like libvirt to integrate the VM image storage into OpenStack or CloudStack. I've worked with both.

http://ceph.com/docs/master/start/

http://ceph.com/docs/master/rbd/rbd-snapshot/ CoW cloning makes VM provisioning faster.

http://ceph.com/docs/master/install/install-vm-cloud/

http://ceph.com/docs/master/rbd/rbd-openstack/

http://ceph.com/docs/master/rbd/rbd-cloudstack/

ProxMox is also useful:

http://proxmox.com/

Thank you all for the valuable reply. I am working on IaaS layer of Cloud Computing Environment and looking forward for most suitable environment to execute.